Cannes-Do Festival Banner

Twitter suffers share plunge amidst weak advertiser demand

By John Glenday | Reporter

July 27, 2016 | 1 min read

Twitter has seen its share price plunge by as much as 10 per cent after advising that its revenues for the coming quarter are likely to fall short of expectations amidst weak advertiser demand.

This has seen revenues come in at $602m for the second quarter, a smidgen below the $606m which had been penciled in by analysts, although it was still 20 per cent up on the $502m made in the same period last year.

Blaming ‘less overall advertiser demand than expected’ for the disappointing figures the financial update illustrates just how far Jack Dorsey’s video advertising vision for the micro blogging site still has to travel.

The latest marketing news and insights straight to your inbox.

Get the best of The Drum by choosing from a series of great email briefings, whether that’s daily news, weekly recaps or deep dives into media or creativity.

Sign up

Twitter launched its Periscope app in order to encourage users to post more high value videos on their timelines to lure advertisers but any revenues generated by the initiative wont yet be fully realised, prompting many to revise their long-term growth predictions downward.

Trending

Industry insights

View all
Add your own content +